EXHIBIT 12
HOUSTON INDUSTRIES INCORPORATED AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
(THOUSANDS OF DOLLARS)
Twelve Months Ended December 31,
------------------------------------------------------------------------
1994 1993 1992 1991 1990
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(Restated) (Restated) (Restated) (Restated) (Restated)
Fixed Charges as Defined:
(1) Interest on Long-Term Debt ...................... $ 265,494 $ 304,462 $338,771 $ 340,810 $ 317,454
(2) Other Interest .................................. 25,076 15,145 23,323 42,353 48,872
(3) Preferred Dividends Factor of Subsidiary
(line 12) ..................................... 51,718 52,399 58,204 67,433 71,152
(4) Interest Component of Rentals Charged to
Operating Expense ............................. 3,951 4,449 5,116 5,943 5,628
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(5) Total Fixed Charges ............................. $ 346,239 $ 376,455 $425,414 $ 456,539 $ 443,106
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Earnings as Defined:
(6) Income from Continuing Operations
Before Cumulative Effect of
Change in Accounting .......................... $ 423,985 $ 440,531 $370,031 $ 484,275 $ 417,422
(7) Income Taxes for Continuing Operations
Before Cumulative Effect of
Change in Accounting .......................... 230,424 228,863 177,276 224,215 202,501
(8) Fixed Charges (line 5) .......................... 346,239 376,455 425,414 456,539 443,106
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(9) Earnings from Continuing Operations
Before Cumulative Effect of Change
in Accounting, Income Taxes and Fixed
Charges ....................................... $1,000,648 $1,045,849 $972,721 $1,165,029 $1,063,029
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Preferred Dividends Factor of Subsidiary:
(10) Preferred Stock Dividends of Subsidiary ......... $ 33,583 $ 34,473 $ 39,327 $ 46,187 $ 47,753
(11) Ratio of Pre-Tax Income from Continuing
Operations to Income from Continuing
Operations(line 6 plus line 7 divided
by line 6) .................................... 1.54 1.52 1.48 1.46 1.49
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(12) Preferred Dividends Factor of Subsidiary
(line 10 times line 11) ....................... $ 51,718 $ 52,399 $ 58,204 $ 67,433 $ 71,152
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Ratio of Earnings from Continuing Operations
to Fixed Charges Before Cumulative
Effect of Change in Accounting
(line 9 divided by line 5) ......................... 2.89 2.78 2.29 2.55 2.40